Our leasing arrangements are reflected on the balance sheet as right-of-use assets and liabilities pertaining to the rights and obligations created by the leased assets.

Right-of-use lease assets and corresponding lease liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. Since the interest rate implicit in our lease arrangements is not readily determinable, we determine an incremental borrowing rate for each lease based on the approximate interest rate on a collateralized basis with similar remaining terms and payments as of the lease commencement date to determine the present value of future lease payments. Our lease terms may include options to extend or terminate the lease. Currently, it is not reasonably certain that we will exercise those options and therefore, we utilize the initial, noncancelable, lease term to calculate the lease assets and corresponding liabilities for all our leases. Operating right-of-use lease assets are classified as operating lease assets on our consolidated balance sheets. We determine whether an arrangement is a lease at inception and classify it as finance or operating. All of our existing material leases are classified as operating leases. Our leases do not contain any residual value guarantees.

Our lease agreements generally contain lease and non-lease components. Non-lease components primarily include payments for maintenance and utilities. We have applied the practical expedient to combine fixed payments for non-lease components with our lease payments for all of our leases and account for them together as a single lease component, which increases the amount of our lease assets and corresponding liabilities. Payments under our lease arrangements are primarily fixed, however, certain lease agreements contain variable payments, which are expensed as incurred and not included in the operating lease assets and liabilities.

Operating lease costs are recognized on a straight-line basis over the lease term and included as a selling, general and administrative expense in the condensed consolidated statements of net income and comprehensive income. Total operating lease costs were $231 and $708 for the three months ended September 30, 2023 and 2022, respectively. Total operating lease costs were $706 and $1,650 for the six months ended September 30, 2023 and 2022, respectively.

Components of operating lease costs are summarized as follows:


	Three Months Ended September 30,						Six Months Ended September 30,
	2023			2022			2023			2022
Operating lease costs	$	393		$	788		$	1,014		$	1,737
Variable lease costs		138			160			319			334
Less: Sublease income		(300	)		(240	)		(627	)		(421	)
Total operating lease costs	$	231		$	708		$	706		$	1,650

Supplemental cash flow information related to operating leases is summarized as follows:


	Three Months Ended September 30,				Six Months Ended September 30,
	2023		2022		2023		2022
Cash paid for amounts included in the measurement of operating lease liabilities	$	983	$	2,225	$	2,127	$	4,533
Operating lease assets obtained in exchange for operating lease liabilities		—		—		585		—

We have operating lease agreements for our offices in the United States and India with lease periods expiring between 2024 and 2028. As of September 30, 2023, our operating leases had a weighted average remaining lease term of 1.9 years and a weighted average discount rate of 4.4%. Future minimum aggregate lease payments under operating leases as of September 30, 2023 are summarized as follows:


For the year ended March 31,
2024	$	1,815
2025		3,520
2026		572
2027		143
2028		150
2029 and beyond		13
Total future lease payments		6,213
Less interest		(278	)
Total lease liabilities	$	5,935

In the three and six months ended September 30, 2023, we recorded impairments of $166 and $525 to our right-of-use assets and certain related fixed assets associated with the vacated locations, or portions thereof, in St. Louis, Hunt Valley, and Cary based on projected sublease rental income and estimated sublease commencement dates and the early termination of a portion of our St. Louis lease.

In the three and six months ended September 30, 2022 we vacated portions of certain leased locations and recorded impairments of $805 and $1,329, respectively, to our right-of-use assets and certain related fixed assets associated with the vacated locations or portions thereof, in St. Louis, Atlanta, Horsham, and Bangalore based on projected sublease rental income and estimated sublease commencement dates and the remeasurement of our operating lease liability associated with the modification of our St. Louis lease.

The impairment analyses were performed at the asset group level and the impairment charges were estimated by comparing the fair value of each asset group based on the expected cash flows to its respective book value. We determined the discount rate for each asset group based on the approximate interest rate on a collateralized basis with similar remaining terms and payments as of the impairment date. Significant judgment was required to estimate the fair value of each asset group and actual results could vary from the estimates, resulting in potential future adjustments to amounts previously recorded.